Gas Malaysia Berhad To List On June 11 | IPO
The Securities Commission’s has given Gas Malaysia Bhd approval to register its listing prospectus via its letter dated May 11, 2012,.
According to unconfirmed source with direct knowledge of the listing, Gas Malaysia Bhd is expected to debut on the Malaysian bourse on June 11.
This IPO is fall under Shariah Compliant security thus allow Shariah Compliant fund to invest in. With the indicative offer price of RM2.20, which disclosed in its extraordinary general meeting circular, Gas Malaysia’s market capitalisation upon listing is expected to be at RM2.825 billion.
Maybank Investment Bank is the advisor for the IPO.
Gas Malaysia is slated to be traded on the Main Market of Bursa Malaysia and is expected to become a strong dividend-yielding stock
Gas Malaysia enjoys monopoly in gas distribution to the non-power sector as it currently supplies energy to more than 700 industrial, 13,352 residential and 528 commercial customers in Peninsular Malaysia. It is a strong company with an excellent balance sheet and hence will be able to attract good response for the IPO
For the year 2012, the listing of Gas Malaysia Bhd is expected to raise over RM734 million, potentially making it the third-largest initial public offering this year after Felda Global Ventures Holdings Bhd and Integrated Healthcare Holdings Bhd.
It was reported that Gas Malaysia is 55 percent-owned by MMC-Shapadu (Holdings) Sdn Bhd, while Tokyo Gas-Mitsui & Co (Holdings) Sdn Bhd holds 25 percent and Petronas Gas Bhd owns the balance. Syed Mokhtar Al-Bukhary, Malaysia’s seventh-richest person, controls MMC Corp.
In order to unlock the value of its power assets, Malaysian builder MMC Corp Bhd plans to relist its 51 percent owned Malakoff Corp Bhd, the country’s largest independent power producer on Bursa Malaysia next year. The listings of the said subsidiaries are expected to pare down MMC Corp Bhd’s debt and also enable the company to pay higher dividends to their shareholders.
Gas Malaysia’s hot IPO
Natural gas distributor’s shares oversubscribed by 21.6 times
KUALA LUMPUR: Gas Malaysia Bhd’s initial public offering (IPO) is in hot demand with a total of 44,561 applications received for 581.39 million shares, representing an oversubscription rate of 21.64 times.
A total of 25.68 million shares were available for public subscription.
A total of 15,034 applications for 175.63 million shares were received under the bumiputra category which represents an oversubscription of 12.68 times while under the public category, 29,527 applications for 405.76 million shares were received for an oversubscription of 30.60 times.
The sole bookrunner, Maybank Investment Bank Bhd has confirmed that the institutional offering of 303.32 million shares has been completed. The institutional price was fixed at RM2.20 per share.
The other joint underwriters are Bank Muamalat Malaysia Bhd and Kenanga Investment Bank Bhd.
The IPO of Gas Malaysia involves 147.68 million shares offered to Bumiputra institutional and selected investors approved by the International Trade and Industry Ministry, 155.64 million shares to institutional and selected investors, 4.85 million shares reserved for application by eligible directors and employees and 25.68 million shares made available for application by the public.
Out of this, 12.84 million offer shares have been set aside for the bumiputra portion.
Gas Malaysia principally markets and distributes natural gas to customers in Peninsular Malaysia. The company will spend some RM140mil for pipeline network expansion this year.
This will involve an additional 70km to 90km of pipeline to complement the existing 1,800km network in Peninsular Malaysia.
For the subsequent years, capital requirements would be between RM30mil and RM40mil per annum. fr:biz.thestar.com.my/news/story.asp?file=/2012/5/30/business/11381990&sec=business